Pot Stock Spotlight: Aurora Cannabis Earnings Soar 2,800%

Over the last few weeks, we’ve seen a considerable number of catalysts for marijuana.

For one, former Attorney General Jeff Sessions just resigned. You may remember Sessions was a major foe for the industry, moving to end a policy that allowed states to make their own decisions on marijuana.

Two, Canada just legalized recreational marijuana throughout Canada, where there is so much demand, the country is running short of supply.

Three, more U.S. states just approved the use of marijuana, including Michigan.

Aurora Cannabis (ACB) High on Earnings

Now, there’s a fourth catalyst that could very well send pot stocks to new highs – earnings.

And so far, so good…. Aurora Cannabis (ACB) just reported incredible earnings. Revenue skyrocketed 260% year over year as kilograms produced jumped to 4,996 from 1,010. Earnings were up an incredible 2,800% to CA$104.2 million.

Gross margins on cannabis grew to 70% thanks to a higher average selling price per gram of dried cannabis. Better yet, costs to produce a gram of dried cannabis sold fell by 22.5% year over year, and fell 14.7% quarter over quarter.

“Given the strong unmet consumer demand evident across Canada, we are confident that our rapidly increasing production capacity will result in continued acceleration of revenue growth.”

Aurora Kicks of a Big Week for Marijuana Earnings

Canopy Growth (CGC), which just received a $4 billion investment from Constellation Brands, will report earnings on November 14, 2018. In its last quarter, CGC posted a 63% year over year increase in revenue.

Tilray Inc. (TLRY) will report earnings on November 13, 2018. When it first reported earning, revenues nearly doubled to $9.74 million year over year. While many are only expecting $10.25 million in sales, we expect to see nearly $14 million.

Cronos Group (CRON) will report earnings on November 13, 2018. Sales of CA$3.39 million was a nearly fivefold increase year over year.